Gary Gensler urges crypto exchanges to register with SEC. Says investors ‘will be protected’
SEC chairman is pleading with crypto exchanges within the country to register with the commission
In a new press statement, the United States Securities and Exchange Commission boss Gary Gensler has begged crypto exchanges operating under his radar and within the country’s shores to ensure the safety of the investments of their investors by registering with the SEC.
Gensler calls on exchanges to register
Gensler made the plea as part of his prepared statement for the upcoming testimonial face-off at the Senate Committee on Banking, Housing, and Urban Affairs slated for Sept. 14. The Committee called his attention to the heavy complaint of complete oversight levied on the SEC.
The SEC boss assured that his team and the Commodities Futures Trading Commission are working tirelessly to protect investors. In collaboration with key bodies and agencies of government, SEC is hoping to establish a suitable but strict policy framework that will guide the crypto space in the US.
“I’ve suggested that [crypto] platforms and projects come in and talk to us. Many platforms have dozens or hundreds of tokens on them. While each token’s legal status depends on its facts and circumstances, the probability is quite remote that, with 50, 100, or 1,000 tokens, any given platform has zero securities,” the SEC boss said.
Crypto can be a “catalyst for change”
In addition, Gensler stressed the need for a check and balance framework which puts the crypto firms at ease and checks their excesses. He opined that only if they stay within the established framework will crypto firms act as “catalysts for change”.
Last month, Gensler had hoped to implement new changes in the crypto policies that will affect token offerings, DeFi, stablecoins, lending platforms, and exchange-traded funds. Being a lover of negotiation, he prayed crypto firms to “come in and talk with the SEC.”
Gensler expressed his displeasure by saying, “We just don’t have enough investor protection in crypto finance, issuance, trading, or lending. Frankly, at this time, it’s more like the Wild West or the old world of ‘buyer beware’ that existed before the securities laws were enacted. This asset class is rife with fraud, scams, and abuse in certain applications.”